HB 1122 South Dakota House · 2025 Regular Session

amend provisions of the Uniform Commercial Code.

HB 1122 proposes amendments to South Dakota's Uniform Commercial Code, which governs commercial transactions and business contracts in the state. The bill directly affects businesses, financial institutions, and individuals engaged in commercial activities by modifying existing legal rules. Specific provisions would update definitions, procedures, or requirements related to commercial agreements and financial instruments. These changes aim to align state laws with current commercial practices and potentially resolve ambiguities in how contracts are interpreted. The bill does not create new obligations but adjusts the legal framework under which commercial dealings are conducted.

Bill status in committee 2 of 4 stages cleared

Introduction

Jan 2025

Committee Review

Feb 2025

House Failed

Feb 2025

Governor

Introduced Jan 29, 2025 Last action Feb 7, 2025

Maddy AI version diff · 1 comparison

What changed between versions

Introduced → House Commerce and Energy Engrossed · 4 edits · Feb 5, 2025

MODERATE

This bill amends South Dakota's Uniform Commercial Code to clarify which state laws apply to securities transactions and securities accounts. It establishes specific rules for determining the jurisdiction of securities issuers and intermediaries, which determines which state's laws govern disputes and obligations related to securities transfers and entitlements.

Scope change

The bill expands the scope of the Uniform Commercial Code to include more specific rules for determining applicable law in securities transactions, particularly for digital securities and securities accounts.

DEFINITION

Added new subsection (d) defining 'issuer's jurisdiction' based on where the issuer is organized or where they specify governing law.

Added new subsection (e) with five specific rules for determining 'securities intermediary's jurisdiction' based on agreements, account locations, and office locations.

REQUIREMENT

Added new subsection (f) clarifying that physical location of certificates or data processing facilities does not determine jurisdiction.

Added new subsection (g) stating that issuer or intermediary jurisdiction laws apply even if the transaction has no relation to that jurisdiction.

Floor votes · House Feb 7, 2025

How they voted

25–41

Failed · 2 other

Total votes 68

Feb 7, 2025

D Democratic5

4 Nay 1

80% Nay

R Republican63

25 Yea 37 Nay 1

58% Nay

Vote distribution

All Yea All Nay Mixed No data

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Amendments

Feb 7, 2025

Lower · Passed

House of Representatives Do Pass Amended , Passed, YEAS 26, NAYS 41 H.J. 227

lower

Feb 7, 2025

Vote failed

House Vote: fail (25-41-2)

house

Feb 5, 2025

Lower · Passed

Commerce and Energy Do Pass Amended , Passed, YEAS 7, NAYS 6

lower

Feb 5, 2025

Introduced

Commerce and Energy Motion to amend , Passed, Amendment 1122A

lower

Jan 29, 2025

Introduced

First read in House and referred to H.J. 144

lower

14 primary · 0 co-sponsors